Cheap Stock, Nice Yield, Strong Management

What's not to love? Property and casualty giant Ace is portfolio insurance in a pricey market.

Shares of insurance giant Ace Ltd. jumped Thursday after the company announced a 24% dividend increase and authorized a $2 billion share-repurchase plan. But investors just buying into the stock can still expect more gains ahead.

Ace (ticker: ACE) isn't your average property and casualty insurer. With the best capitalization in the industry and a worldwide network, Ace boasts a broad client list for a diverse product lineup, from health to agriculture to political risk coverage. This not only insulates it from individual...